Orange, Inc. has identified the following cost drivers for its expected overhead costs for the year:

Cost Pools Budgeted Cost Cost Driver Cost Driver Level

Setup $ $70,000$ Number of setups $350$

Ordering $35,000$ Number of orders $1,750$

Maintenance $87,500$ Machine hours $8,750$

Power $17,500$ Kilowatt hours $17,500$

Total direct labor hours budgeted $=3,500$ hours.

The following data applies to Product X$,$ one of the products completed during the year.

Direct materials $ $1,750$

Direct labor $ $2,100$

Units completed $175$

Direct labor hours $70$

Number of setups $7$

Number of orders $14$

Machine hours $70$

Kilowatt hours $175$

If the activity$-$based cost drivers are used to allocate overhead cost, the total overhead cost of Product X will be:

$$2,495$

$$2,555$

$$3,500$

$$4,200$